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Businesses may be tiring of services like Groupon, and overaggressive retailers may have bargained themselves into a less profitable holiday shopping season, but one thing is for sure: consumers love discounts.
Who can blame them? The global economy nearly collapsed in 2008, and it's been tough since then. Companies eager to separate consumers from their hard-earned dollars have often had little choice but to lure customers in with prices too hard to pass up.
Is the future of marketing social? Few today would argue that social media marketing is going away any time soon, and the most bullish suggest that social is going to increasingly displace traditional marketing spend.
But are the bulls right? If a new study is any indication, not exactly.
Quick: what are some of the best way to acquire loyal customers? If you look around online, you might draw the conclusion that providing discounts makes the list.
Billions upon billions of dollars worth of coupons are distributed by brands each year, and increasingly couponing is moving to the web, where bargain-loving consumers have more power than ever to seek out the very best deals available.
If you've ever purchased something online, you've probably come across an almost ubiquitous feature on many order forms: the coupon code field.
Online sellers, of course, use coupon codes in an effort to boost sales, increase AOVs and reward loyal customers. But according to web consultant Rachel Baker, these innocuous fields may be doing more harm than good.
Thanks to companies like Groupon and LivingSocial, group buying has rapidly grown into a multi-billion dollar market in just a few short years.
The reason: group buying offers both consumers and businesses a deal that's too good to pass up. For consumers, there are steep, limited-time-only discounts on products and services. For businesses, there's the promise of a flood of new customers.
Startups like Klout may have a hard time convincing brands they can prove how influential social media followers are. But dozens of studies aim to figure out why consumers are mentioning, following, or friending brands via social media.
The latest is from Empathica, which surveyed over 15,000 Americans and Canadians, to deliver its take on who's following brands and why.
Old Spice's popular viral videos have been winning the company accolades all summer — including an Emmy nod this week. Now it looks as if something a little more powerful contributed to the company's strong sales figures this year: coupon offers.
As soon as Old Spice stopped offering coupons for the products touted in the viral "The Man Your Man Could Smell Like" ads, the company's sales bounce disappeared. If Wieden + Kennedy's lauded creative can't move product, the campaign could serve as a warning to those seeking viral video glory online.
There has been plenty of talk about the benefits of coupons for online retailers, but a recent study underlines the benefits of coupons for offline and multichannel retailers.
The Compete survey finds that only around a third of coupons are redeemed online, so they offer a way to drive offline as well as online sales.
Groupon is a group-based social e-commerce buying service that launched last year. While many retailers are struggling to survive in this economy, Groupon has seen exponential growth.
With $4.8 million in funding from New Enterprise Associates and $1 million from an angel investor, Groupon reached profitability in June.
The company offers daily deals on a variety of services offered from different retailers. Groupon. The savings are group focused — if enough people sign up for an offer, everyone gets the deal. If there aren’t enough people, no one gets it. Groupon collects payment and passes it on, minus their fee, to the business.
Today the company announced $30 million in series B funding that included new investor Accel Partners. I caught up with Andrew Mason, Groupon's founder, to talk about what sets his company apart from traditional coupon sites, how the company came about and what's up next at Groupon.
Coupons often become required shopping tools when the economy is tough, and online the prognosis is no different. Over the past year, online and mobile shoppers have increasing relied on coupons during the purchasing process. And now mobile answer service ChaCha is joining the pack.
Everyone loves a deal and that's especially true when times are tough. So it's no surprise that bargain hunting online has become an even more popular pastime for consumers. From coupon sites to cashback sites, consumers looking to spend money have plenty of ways to get more bang for the buck.
Helping them get that bang for the buck is something naturally suited to search engines. And Ask.com is joining the fray with a new service called Ask Deals.